Question

    If the fixed cost is Rs.43,500 and the company, the contribution is Rs.500 per unit, how many unit sales would a company need to do to earn a profit of Rs.15,000?

    A 30 units Correct Answer Incorrect Answer
    B 57 units Correct Answer Incorrect Answer
    C 87 units Correct Answer Incorrect Answer
    D 100 units Correct Answer Incorrect Answer
    E 117 units Correct Answer Incorrect Answer

    Solution

    BEP = (Fixed cost + Profit)/ contribution per unit             = (43500 + 15000)/500             = 117 units

    Practice Next
    ×
    ×